Performant Healthcare Inc. to Be Acquired by Machinify in $670 Million Deal

In a significant development for the healthcare sector, Performant Healthcare Inc. (PHLT), a leading provider of technology-enabled payment integrity, eligibility, and related analytics services, has agreed to be acquired by Machinify, a prominent healthcare intelligence company. The acquisition, valued at approximately $670 million, marks a pivotal moment for Performant, which has seen its stock soar by 230% over the past three months.

Strategic Acquisition

The acquisition by Machinify, a portfolio company of New Mountain Capital, underscores the growing importance of technology in healthcare payment integrity and analytics. Performant’s innovative solutions have positioned it as a market leader, addressing complex payment integrity challenges for healthcare payers. This strategic move is expected to enhance Machinify’s capabilities in healthcare intelligence, further solidifying its position in the industry.

Financial Highlights

Performant Healthcare announced its preliminary financial results for the second quarter of 2025, projecting revenues of approximately $37.8 million, net income of about $2.1 million, and adjusted EBITDA of around $6.2 million. These figures reflect the company’s robust performance and operational efficiency. However, in light of the acquisition, Performant has decided to withdraw its previously issued full-year 2025 guidance and cancel its second quarter results conference call, originally scheduled for August 5, 2025.

Shareholder Value

The acquisition deal offers Performant shareholders $7.75 in cash for each share, representing a substantial premium of approximately 139% over the 90-day volume-weighted average price (VWAP) of $3.25 per share as of July 31, 2025. This premium highlights the value Machinify sees in Performant’s technology and market position.

Leadership Perspective

CEO Simeon Kohl expressed pride in the company’s achievements, attributing its success to the dedication of its team and the value delivered to clients and shareholders. The decision to pursue this acquisition path, after a comprehensive review of strategic alternatives, reflects a unanimous agreement among the board of directors and executive leadership team that this is the best course for the company’s future.

Conclusion

The acquisition of Performant Healthcare by Machinify is a testament to the critical role of technology in transforming healthcare payment integrity and analytics. As the healthcare industry continues to evolve, this merger is poised to create a more robust platform for addressing the complex challenges faced by healthcare payers, ultimately benefiting the broader healthcare ecosystem.